The Digest #67

Published on February 15, 2021

Is Everything a Bubble?

Howard Marks and Joel Greenblatt have nearly a century of investing experience between them and personally lived through multiple boom-bust cycles. In this fascinating discussion, Marks and Greenblatt share their observations regarding the current interest rate environment, how this has impacted the valuation of all asset classes, whether inflation could change the situation, and how to invest in today’s world.

Greenblatt also comments on Marks’ recent memo, Something of Valuewhich was published on January 11. Both Marks and Greenblatt discuss the need to maintain discipline and remain cognizant of timeless investment principles while recognizing that the manner in which these principles are applied must change over time. 

It is incredibly valuable to listen to two extremely successful practitioners who have seen many decades of events grapple with today’s environment and how to best position themselves for the years to come. 


Rebooting New York City February 11, 2021. Andrew Yang is interviewed by Sam Harris in this wide-ranging discussion regarding the future of New York City. Yang is the current front-runner in the race for mayor. Many of the problems faced by New York during the COVID pandemic are common to all large cities. Will the work-from-home trend continue after the pandemic ends? And if so, how will this impact utilization and pricing of office space? If people are no longer working in cities, will they choose to live in urban locations anyway for cultural and social reasons or will residential property prices and rents collapse? (Making Sense with Sam Harris)

Mental Models Used by Billionaires February 13, 2021. Sahil Bloom, a Vice President at Altamont Capital Partners, is interviewed by Trey Lockerbie in this exploration of mental models, first principles thinking, and the critical importance of understanding second and third-order effects. (We Study Billionaires – The Investor’s Podcast Network)

Best Story Wins by Morgan Housel, February 11, 2021. Great communication skills are essential if you want to get your message across. This is obvious, but perhaps under-appreciated. Housel discusses the power of presenting ideas in new ways, ways that will resonate with an audience even if the ideas themselves are old. He uses the example of Yuval Noah Harari’s best-selling book, Sapienswhich I reviewed a few years ago on The Rational Walk. Harari did no groundbreaking research on this history of humanity but he presented the story with beautiful writing and made it accessible and compelling. (Collaborative Fund)


Tweet of the Week

Satire is common on Twitter, but this one is real. One day it might be framed and displayed in a museum of 21st century economic history.

Source: ECB Tweet on February 14, 2021

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The Digest #67
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